DOJ Closes Investigation of FDC's Western Union

“After an extensive investigation, the Antitrust Division has concluded that the facts do not support a claim that Western Union’s contracting practices with its agents in the United States have caused harm to consumers. The Division’s investigation found that competition for money transfer and emergency bill payment services has persisted, and in many areas intensified, in recent years. This increased competition is a result of several factors including significant growth in the demand for U.S.-to-overseas money transfer services, the increased popularity of non-agent-based electronic bill payment services among consumers, and entry of new money transfer competitors.”

“The Division continues to have serious concerns regarding the lack of vigorous price competition in certain U.S.-foreign country ‘corridors’ and will monitor the international money transfer services market. However, we have determined that competition in such markets is often more directly influenced by corridor-specific conditions such as market size, local regulation, and the nature of the local financial infrastructure, than by Western Union’s contracting practices. Therefore, the Division has decided to close its investigation into the money transfer services industry, and to increase its inter-governmental competition advocacy efforts in this important market.”